Auditor Adam Edelen has released the first-ever audit conducted by the Auditor’s office into the Kentucky Teachers’ Retirement System, expressing an unmodified or clean opinion on the system’s financial statements for fiscal year 2014.

The Auditor’s office, under KRS 161.370, is required to perform the financial audit of KTRS at least once every five years. The teachers’ retirement system contracts with a private CPA firm to perform the audits in the years they aren’t conducted by the Auditor’s office.

Edelen releases volume one of the annual statewide audit of the Commonwealth

Auditor Adam Edelen on Wednesday released the first part of the annual statewide audit of the Commonwealth of Kentucky for fiscal year ending June 30, 2014, expressing an unmodified or clean opinion on the state’s financial statements.

Federal law requires an audit of the state’s financial statements, which expresses an opinion on $25.5 billion in expenditures. The second part of the audit, to be released in March, focuses on the state’s compliance with federal grant requirements.

Auditor Edelen releases Southeast Bullitt Fire District exam, finds weaknesses in financial controlsFire Department also in violation of special district reform law Auditor Edelen spearheaded in 2013

Auditor Adam Edelen today released a special examination of the Southeast Bullitt Fire Protection District, finding lax controls and a lack of analysis of its finances while levying property taxes at the highest allowable rate.

The Auditor’s office began an examination last fall after receiving allegations concerning certain financial activity at the District. The District and the Southeast Bullitt Volunteer Fire and Rescue Department, Inc. have come under public scrutiny in recent months for a number of issues. The District has contracted with the Department to provide fire protection services in Bullitt County, just south of Louisville.

Auditor Edelen releases Shelby County Schools exam, details scheme used to steal almost $600,000 from the district

Auditor Adam Edelen today released a special examination of the Shelby County School District, finding that a former payroll manager accused of stealing nearly $600,000 appeared to have too much access to the payroll system and too little oversight.

The exam confirmed payroll fraud totaling $593,179 that occurred over seven years and identified 16 findings and several recommendations to strengthen the financial management and oversight of the District.

Auditor Adam Edelen on Wednesday released a special examination of Fayette County Public Schools, finding chronic mismanagement of the district’s budget and finances that have contributed to its financial instability.

Auditors did not find any evidence of alleged criminal activity; however, they determined that poor financial management, weak policies and failed communications culminated in a weakened financial position for the district.

“This examination found that unfortunately, it’s not all about the kids,” Auditor Edelen said. “Mismanagement of the finances of the state’s 2nd largest school district, with an annual budget of more than $400 million, is obviously very troubling. But even more so is a culture within certain elements of management that does not reflect the district’s purported values. Our kids deserve better.”

Auditor Adam Edelen on Tuesday released a special examination of the Cincinnati/Northern Kentucky International Airport (CVG) board, calling for an overhaul of the governance structure to end decades of waste and abuse and better reflect the regional significance of the airport.

“For far too long, CVG has served as a political appendage of the Kenton County judge/executive,” Auditor Edelen said. “One individual literally controls an airport that serves a metropolitan area of 2.1 million people and is critical to the economic vitality of the region and two states. Today, I am proposing reform to bring much-needed accountability and representation that reflects all the stakeholders of this regional asset.”

Auditor Adam Edelen to conduct public hearings to assess the fiscal health of rural hospitals

Auditor Adam Edelen will host a series of public hearings across the Commonwealth this summer to talk about the fiscal health of rural hospitals.

The 10 hearings kick off a study by the Auditor’s office that seeks to understand the challenges facing small, community hospitals that provide health care to 45 percent of Kentuckians and are key economic drivers in those communities.

“Rural hospitals are teetering on the edge of survival in many Kentucky communities,” Auditor Edelen said. “This is an effort to understand the degree to which our hospitals are in crisis and what might be done to save them.”